JP Morgan reiterated its negative stance on the Information Technology (IT) sector on June 14, emphasising that every company will disappoint Street expectation in Q1 this fiscal, as also in the second half of FY24. The brokerage has placed IT majors like Infosys, TCS and Mphasis on a negative catalyst watch.The sectoral index, which has been on a downward trend since June 1, was down less than once per cent at 28,828.65. At 2.20 pm, while Infosys and Mphasis were down by a percent, TCS managed to remain marginally in green. Nucleus Software rises on tie-up with Mahindra FinanceThe performance of Tier-1 technology firms in the March quarter was muted with the revenue growth ranging between -3.2 and 0.6 percent, pointed out domestic brokerage firm Sharekhan. For instance, the Bengaluru-based Infosys’ revenue declined by over 2 percent QoQ. Moreover, it has now set a single digit growth guidance in the range of 4-7 percent for FY24.“The delayed spending in a few segments, concerns in BFSI, and fears over a global economic slowdown are impacting the overall performance of the sector. On the valuation front, over the past 1.5 years, the industry valuations have been corrected by more than a third,” said Vinod TP, Research analyst at Geojit Financial Services.